Columbus HUD Homes

You probably saw it in the news. The home buyer tax credit will be around for another 6 months. If you felt that you missed out on the $8,000 gift from your government, you have another chance.

Buy one of the wonderful Columbus HUD homes we see listed each week! Not only will you get a great residence below market value, but you will also receive cash back  after closing, complements of the IRS. Time to double your benefits!

Here are the new rules for the home buyer tax credit and how the program was enhanced:

• The tax credit for first time home buyers is still $8,000 (up to 10% of the purchase price).
• There’s a new tax credit for move-up/repeat home buyers. It’s $6,500 (up to 10% of the purchase price) for existing home owners who want to move up or buy a new home. You basically must have owned and lived in your home for 5 years (out of the past 8 years).
• The deadline has been extended until April 30, 2010. You may even close as late as June 30, 2010, as long as you signed a binding purchase contract by April 30, 2010.
• The purchase price must be under $800,000 and the buyer’s income must be less than $125,000 for single taxpayers and less than $225,000 for married couples.

You can read more about the Home Buyer Tax Credit Here.

I believe this is an incredible incentive. I also believe that this will be your last chance to claim the tax credit. Most likely it will not be extended a second time, as we see continued improvement in the housing market. According to a survey by Move.com 5% of Americans plan to buy a home in 2010, because they believe that the market has bottomed out and home prices will increase next year.

Here’s my advice. Take advantage of the winter buying season. The coming months – November, December and January – are usually very slow. There will be plenty of good Columbus houses on the market at even lower prices than we saw last summer.

Keep your eyes open and follow our blog for the best HUD homes in Central Ohio. I can help you find a great deal in the next couple of months, so you can take full advantage of this once in a life time gift from your government.

Thanks for reading our Columbus HUD Homes Blog
Posted by: Susanne Novak, ABR, FIS, GRI 
Columbus Realtors specializing in
HUD Homes, Shortsales, Investment Real Estate
(614) 975-9650

Technorati Tags: Columbus Houses, Columbus HUD Homes, Columbus Realtors, hud listings, tax credit

I usually preview 3 Columbus HUD Homes for our readers, however, since this week has such a great selection of new HUD listings, I just could not contain myself. I went out on Friday, before the rain started, and visited 5 new Columbus HUD homes for you.

Click on the addresses to see 18 pictures and a video link for each property. Nobody in Columbus has consistently delivered more information on HUD homes for sale than this website! Tell your friends – now is the best time to buy a HUD home.

Here are my 5 featured Columbus HUD Homes:

863 Fortunegate Dr, Westerville, OH
3BR/2.5BA 1,576 sqft Asking $112,000

7800 Jefferson Run, Blacklick, OH
2BR/2.5BA 1,211 sqft Asking $90,000

1293 Hickory Valley Dr, Blacklick, OH
4BR/2.5BA 2,031 sqft Asking $150,000

7844 Katies Way Ln, Worthington, OH
4BR/2.5BA 2,031 sqft Asking $150,000

2972 Splitrock Rd, Hilliard, OH
4BR/2.5BA 2,031 sqft Asking $150,000

As of now, we don’t know if the first time buyer’s income tax credit of up to $8,000 will be extended past the 11/30/09 deadline. There is still time to close before this deadline on any of this week’s listings!

Call or email me, I’d love to help you get a house and $8,000 on top of it!

Thanks for reading our Columbus HUD Homes Blog
Posted by: Susanne Novak, ABR, FIS, GRI
Columbus Realtors specializing in
HUD Homes, Shortsales, Investment Real Estate
(614) 975-9650

Technorati Tags: Columbus Houses, Columbus HUD Homes, Columbus Realtors, featured homes, hud listings, tax credit

It’s not easy to find Columbus HUD Homes in the North Western suburbs. Just take a look at our HUD Homes maps and you will see an empty space in the left upper half of the screen.

This week some markers started to appear on the vacant areas. I selected 3 Columbus houses in Hilliard, Galloway and Worthington you may want to look at. All of them are nice residences and good values, although the Hilliard house, close to Heritage golf course, is a little more expensive than the other two.

If you plan to buy a home in 2009 you have to make a decision in September. Why? Because the $8,000 first time buyers tax credit will expire at the end of November. I predict that lenders will be extremely busy in November, and you may miss your closing deadline of November 30. There are always delays when it comes to getting a loan approved.

Also keep in mind that it will take a few weeks to get your home inspected. Lenders are very picky even with minor repairs. So, if your HUD home is listed as Insured with Repair Escrow, the bank may require repair quotes from different contractors, and maybe even a structural inspection, before they agree to finance your purchase. Make an offer in September and you will be safe!

Here are the 3 north west Columbus HUD Homes:

2041 Queensbridge Dr, Worthington, OH
3BR/1.5BA 1,343 sqft Asking $115,000

3280 Andrew James Dr, Hilliard, OH
3BR/3.5BA 1,825 sqft Asking $179,000

1074 Crossbrook Blvd, Galloway, OH
4BR/2.5BA 1,702 sqft Asking $120,000

Call me at (614) 975-9650 to schedule a showing TODAY!

Thanks for reading our Columbus HUD Homes Blog
Posted by: Susanne Novak, ABR, FIS, GRI
Columbus Realtors specializing in
HUD Homes, Shortsales, Investment Real Estate
(614) 975-9650

Technorati Tags: Columbus Houses, Columbus HUD Homes, Columbus Realtors, hud listings, inspection, tax credit

A couple of days ago the  Secretary of HUD announced that first time buyers will be able to immediately take advantage of some or all of the $8000 tax credit. The good news is that these advances are short term loans made by your FHA lender and will be available at closing. The bad news is that you can’t use this money to cover the 3.5% down payment required for an FHA loan.

Read the original news release from HUD …

In a nutshell, this change in policy is basically useless for Ohio borrowers. Here’s why:

You still won’t be able to buy Columbus houses with no money down, if you want to use FHA financing. You will need to come up with 3.5% of the purchase price in cash at closing unless you are buying Columbus HUD homes with $100 down. You may borrow the 3.5% from your family or employer – that’s permitted under the program – and pay it back when you get the tax credit from the IRS. Or, you can receive a gift from a family member for the 3.5% down.

What most people don’t realize is that they don’t have to wait until next year to claim their income tax credit. Instead, you can file an amended tax return immediately after closing on your home and receive the $8,000 tax credit refunded within 30 to 60 days. So, even though you still may need the cash for the down payment you only need it for one or two months.

In addition, the State of Ohio already implemented a program through  OHFA that allows first time buyers to get a short term loan from the State to cover closing costs and down payment. This loan does not have to be paid back when you receive your tax credit and you may keep it as a second mortgage.

The third reason why the new policy won’t help you much is the fact that the short term loan proposed by HUD would only cover closing costs or additional down payment beyond the required minimum amount. It has been our experience that basically all sellers, including HUD, will pay for 2% to 3% of a buyer’s closing costs. Therefore, together with the property tax pro-rations pretty much all of the buyer’s closing costs are covered by the seller – no need for this loan.

As long as you qualify for FHA financing, even if you really don’t have access to any cash at all and don’t plan on purchasing a HUD owned property, you should take advantage of the Ohio program. Borrow the down payment from the state. Then file an amended tax return right after closing to pay back the short term loan or claim up to $8,000 in cash from your income tax refund and invest it back into the house for furniture, carpet or other needed repairs and upgrades.

Thanks for reading our Columbus HUD Homes Blog
Posted by: Susanne Novak, ABR, FIS, GRI 
Columbus Realtors specializing in
HUD Homes, Shortsales, Investment Real Estate
(614) 975-9650

Technorati Tags: $8000, Columbus Houses, Columbus HUD Homes, Columbus Realtors, down payment, HUD listing, tax credit, tax return